The new plant will have a capacity of 300,000 liters of milk per day, which can be increased to eight lakh litres per day when fully operational, Nagarajan said.

We are also refurbishing Nagpur dairy and setting up network to procure milk from farmers in Marathwada and Vidharbha regions, he added.

The company will be setting up milk processing facility in Nagpur, which is an existing government unit. It will be operational by 2017, Nagarajan said, adding that it will start procuring milk from farmers in around 50 villages from today and scale up to 2,000 villages in Marathwada and Vidharbha in next three years period.

Apart from Maharashtra, the company also procures milk from Gujarat and Punjab to meet its requirements.

Mother Dairy, a wholly owned subsidiary of National Dairy Development Board (NDDB), today announced the launch of premium – high cream milk for consumers across the greater Mumbai region.

The company has set a target of $1.20 billion (Rs 8,000 crore) turnover in FY 17, a growth of 13-14 per cent on rising demand for dairy products as well as fresh and processed fruits and vegetables, Nagarajan stressed.